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  • Mario borrowed money  from Mr. Ching as he had short fall of money. 
  • Hi, Mr. Ching! Can I borrow money?
  • Sure!
  • I will pledge my house to you, Mr. Ching.
  • So, here's the money.
  • For borrowing the money, he had to pledge his house to Mr. Ching.
  • You're not finished paying your debt.
  • Later on, Mario come back again to Mr. Ching by pledging his wife's jewelry
  • I will also pledge my wife's jewelry, Mr. Ching.
  • But that is not same as borrowing money from a close friend, When you borrow some money from a friend. Let's say for an ice cream, you need to return what you have borrowed. But when people borrowed money from a lender or bank, you have to pay some extra money beside from the money they borrowed. That extra money is the profit of the bank or the lender. 
  • If that's the case, I will get your belongings
  • Mr. Ching used to lend money to people and charge them extra money, it was his profit. When people unable to repay him, he took their belongings. That makes Mr. Ching rich.
  • But banks also charge extra money when we borrow money from bank as a loan. Then why Mario did not go to bank istead of borrowing money to Mr. Ching?
  • Because banks charges lesser extra money on the borrowed money than Mr. Ching.  Then how  much extra money do we have to pay when we borrow money?
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